| Valuation method | Value, $ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 764.54 | 129880 |
| Intrinsic value (DCF) | 0.00 | -100 |
| Graham-Dodd Method | n/a | |
| Graham Formula | n/a |
Actelis Networks, Inc. (NASDAQ: ASNS) is a leading provider of networking solutions tailored for the Internet of Things (IoT) and telecommunications sectors. Headquartered in Fremont, California, the company specializes in designing, manufacturing, and marketing high-performance networking hardware and software, including Ethernet access devices, aggregation switches, broadband amplifiers, and element management systems. Actelis serves a diverse range of industries such as intelligent traffic systems, smart cities, education campuses, airports, rail, military, and energy sectors. With a global footprint spanning North America, Latin America, Europe, the Middle East, Africa, and the Asia Pacific, Actelis delivers mission-critical connectivity solutions alongside value-added services like consulting, remote support, and training. Founded in 1998, the company leverages its deep industry expertise to address the growing demand for secure, high-speed networking in IoT and telecom applications. Despite its niche focus, Actelis operates in the highly competitive Communication Equipment sector, where innovation and reliability are paramount.
Actelis Networks presents a high-risk, high-reward investment opportunity due to its niche focus on IoT and telecom networking solutions. The company's small market cap (~$5.9M) and negative earnings (EPS -$0.73) reflect its early-stage growth challenges, compounded by negative operating cash flow (-$6.5M). However, its specialized product portfolio and global reach in smart infrastructure markets could position it for growth as IoT adoption accelerates. Investors should note the high beta (2.13), indicating significant volatility relative to the market. The lack of debt ($1.3M) and modest cash reserves ($1.9M) suggest limited financial flexibility, making execution critical. Given its unprofitability and cash burn, Actelis may appeal only to speculative investors betting on IoT-driven demand or potential acquisition interest from larger networking players.
Actelis competes in the fragmented networking equipment market, where it differentiates through hybrid fiber-copper solutions optimized for IoT deployments. Its competitive edge lies in serving niche verticals (e.g., smart cities, military) with ruggedized, low-latency products—a contrast to broader competitors focused on enterprise or carrier markets. The company’s element management software provides additional stickiness with customers requiring centralized network control. However, Actelis faces severe scale disadvantages against giants like Cisco, which dominate R&D budgets and distribution channels. Its reliance on hardware sales in a software-defined networking (SDN) era also poses long-term risks. While Actelis’ solutions are cost-effective for legacy infrastructure upgrades, 5G and fiber expansion trends may marginalize its copper-based technologies. The company’s international presence is a strength but exposes it to supply chain and geopolitical risks. Actelis must innovate in edge computing or AI-driven network management to avoid being outflanked by cloud-native alternatives.